The blockchain based OpenBook social investment platform eToro from Israel, had recently announced the successful completion of a staggering $100 million in private financing, bringing total funds raised to $162 million. eToro announced it will use the funds raised to expand into new markets as well as continue its blockchain research and the development of digital assets.
The innovative idea behind eToro is that it brings the social media revolution to the investment world. In other words, if on traditional social media the popularity of users is ranked based on their number of followers, in eToro, all investing portfolios of all investors are open, and investors are ranked based on the success rates of their investment portfolios. If on Facebook or on Twitter one would follow interesting users, on eToro investors can, with a click of a button, subscribe to, and invest in, the investment portfolio of other successful investors.
The financing round was led by China Minsheng Financial, with SBI Group, Korea Investment Partners, with support of the London Stock Exchange Group’s private placement ELITE program. The money was raised at a company valuation of $800 million.
The ELITE program is London Stock Exchange Group’s international business support and capital raising structure, aimed at ambitious and fast growing companies. It is essentially an ecosystem of excellence and prestige, made of ambitious like-minded people committed to success. It boosts growth by providing companies with access to the capital, skills and networks needed to strengthen scalable, sustainable and economically impactful enterprises, from the early stages to full maturity. eToro joined the ELITE program in 2015 .